Europe midday: Stocks rally as EZ trade deficit slashed; Nokia, Ericsson slide

(Sharecast News) – European stock markets clawed into positive territory on Friday, as the eurozone almost wiped out its trade deficit in May.
The pan-regional Stoxx 600 index was up 0.09% with only Germany’s DAX in the red. Stocks have gained this week on the back of US data showing inflation and producer prices both came in cooler than expected and suggested a significant slowdown in inflation in the world’s largest economy.

The eurozone’s trade deficit was almost eliminated in May, according to non-adjusted data published on Friday, as exports of chemicals and machinery picked up imported energy products fell. The seasonally-unadjusted trade balance was a €0.3bn deficit in May compared with a €30.3bn shortfall a year earlier.

Oil prices rose beyond $80 a barrel driven by supply disruptions in Libya and Nigeria and slowing Russian output.

In equity news, shares in Nokia slumped as the Finnish telecoms giant cut its annual outlook, while Swedish rival Ericsson was also out of favour as it reported plunging quarterly profits on the back of a slowdown in consumer spending.

Shares in Swedish firm Lifco plunged 11% after half-year results, while Norwegian conglomerate Orkla rose 5% after an incrase in second quarter operating revenues.

Asset manager Ashmore fell 6.5% after reporting a $1.8bn decease in assets under management for the quarter to end-June, saying investors had cut exposure to emerging markets against the uncertain global macroeconomic backdrop.

Reporting by Frank Prenesti for Sharecast.com

Related Articles

Sign up to the Wealth DFM Newsletter

Please enable JavaScript in your browser to complete this form.
Name

Trending Articles

IFA Talk logo

IFA Talk is our flagship podcast, that fits perfectly into your busy life, bringing the latest insight, analysis, news and interviews to you, wherever you are.

IFA Talk Podcast – listen to the latest episode

Wealth DFM
Privacy Overview

This policy explains how IFA Magazine collects, stores use, and shares personal information (including but not limited to information from which you can be personally identified such as your name, address, job title, company, email address, or telephone number) and information about your visits to the network, including the pages you view, the links you click and other actions taken in connection with www.ifamagazine.com, www.gbinvestments.co.uk, www.robopromedia.com, www.mvpromedia.com.

IFA Magazine Publications Limited may update this Policy at any time. It is your responsibility to check for updates to this Policy, as your continued use of the website denotes an acceptance of this Policy. Unless stated otherwise, IFA Magazine Publications Limited’s current Policy applies to all information that IFA Magazine Publications Limited has about you and your account.